80 FR 17034 - Large Power Transformers From the Republic of Korea: Final Results of Antidumping Duty Administrative Review; 2012-2013

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 80, Issue 61 (March 31, 2015)

Page Range17034-17036
FR Document2015-07382

On September 24, 2014, the Department of Commerce (the Department) published the preliminary results of the administrative review of the antidumping duty order on large power transformers from the Republic of Korea.\1\ The review covers five producers/exporters of the subject merchandise, Hyosung Corporation (Hyosung), Hyundai Heavy Industries Co., Ltd. (Hyundai), ILJIN, ILJIN Electric Co., Ltd. (ILJIN Electric), and LSIS Co., Ltd. (LSIS). ILJIN, ILJIN Electric, and LSIS, were not selected for individual examination. The period of review (POR) is February 16, 2012, through July 31, 2013. As a result of our analysis of the comments and information received, these final results differ from the Preliminary Results. For the final weighted-average dumping margins, see the ``Final Results of Review'' section below. ---------------------------------------------------------------------------

Federal Register, Volume 80 Issue 61 (Tuesday, March 31, 2015)
[Federal Register Volume 80, Number 61 (Tuesday, March 31, 2015)]
[Notices]
[Pages 17034-17036]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-07382]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[A-580-867]


Large Power Transformers From the Republic of Korea: Final 
Results of Antidumping Duty Administrative Review; 2012-2013

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.
SUMMARY: On September 24, 2014, the Department of Commerce (the 
Department) published the preliminary results of the administrative 
review of the antidumping duty order on large power transformers from 
the Republic of Korea.\1\ The review covers five producers/exporters of 
the subject merchandise, Hyosung Corporation (Hyosung), Hyundai Heavy 
Industries Co., Ltd. (Hyundai), ILJIN, ILJIN Electric Co., Ltd. (ILJIN 
Electric), and LSIS Co., Ltd. (LSIS). ILJIN, ILJIN Electric, and LSIS, 
were not selected for individual examination. The period of review 
(POR) is February 16, 2012, through July 31, 2013. As a result of our 
analysis of the comments and information received, these final results 
differ from the Preliminary Results. For the final weighted-average 
dumping margins, see the ``Final Results of Review'' section below.
---------------------------------------------------------------------------

    \1\ See Large Power Transformers From the Republic of Korea: 
Preliminary Results of Antidumping Duty Administrative Review; 2012-
2013, 79 FR 57046 (September 24, 2014) (Preliminary Results).

---------------------------------------------------------------------------
DATES: Effective March 31, 2015.

FOR FURTHER INFORMATION CONTACT: Brian Davis (Hyosung) or David Cordell 
(Hyundai), AD/CVD Operations, Office VI, Enforcement and Compliance, 
International Trade Administration, U.S. Department of Commerce, 14th 
Street and Constitution Avenue NW., Washington, DC 20230; telephone: 
(202) 482-7924 or (202) 482-0408, respectively.

SUPPLEMENTARY INFORMATION: 

Background

    On September 24, 2014, the Department published the Preliminary 
Results. In accordance with 19 CFR 351.309(c)(1)(ii), we invited 
parties to comment on our Preliminary Results.\2\ On October 15, 2014, 
the Department issued a post-preliminary supplemental questionnaire, to 
which Hyundai

[[Page 17035]]

responded on November 3 and 12, 2014, and December 2, 2014. On December 
19, 2014, Hyosung and ABB Inc. (Petitioner) timely submitted case 
briefs.\3\ Rebuttal briefs were also timely filed by Hyosung, Hyundai, 
and Petitioner, on January 9, 2015.\4\ On January 20, 2015, the 
Department issued a memorandum extending the time period for issuing 
the final results of this administrative review from January 22, 2015 
to March 16, 2015. On March 6, 2015, the Department further extended 
the final results to March 23, 2015.\5\
---------------------------------------------------------------------------

    \2\ The Department issued the briefing schedule in a Memorandum 
to the File, dated November 3, 2014. This briefing schedule was 
later extended at the request of interested parties to December 19, 
2014 for briefs and January 9, 2015 for rebuttal briefs on all 
issues, except one.
    \3\ See Brief from Petitioner regarding Hyundai, (Petitioner 
Brief Hyundai), Brief from Petitioner regarding Hyosung (Petitioner 
Brief Hyosung) and Hyosung Brief, all dated December 19, 2014.
    \4\ See Hyosung Rebuttal Brief, Hyundai Rebuttal Brief and 
Petitioner Rebuttal Brief: All dated January 9, 2015. Petitioner 
requested an extension for rebuttal briefs to January 9, 2015 which 
the Department granted for all parties on December 8, 2014. See 
Letter to All Interested Parties dated December 8, 2014. Petitioner 
also requested a further extension for submission of the initial 
briefs, which the Department denied in its letter to all parties 
dated December 17, 2014, with the exception of one issue.
    \5\ See Memoranda to the file dated January 20, 2015 and March 
6, 2015.
---------------------------------------------------------------------------

Scope of the Order

    The scope of this order covers large liquid dielectric power 
transformers (LPTs) having a top power handling capacity greater than 
or equal to 60,000 kilovolt amperes (60 megavolt amperes), whether 
assembled or unassembled, complete or incomplete. The merchandise 
subject to the order is currently classified in the Harmonized Tariff 
Schedule of the United States at subheadings 8504.23.0040, 8504.23.0080 
and 8504.90.9540.\6\
---------------------------------------------------------------------------

    \6\ For a full description of the scope of the order, see the 
Memorandum from Gary Taverman, Associate Deputy Assistant Secretary 
for Antidumping and Countervailing Duty Operations, to Paul Piquado, 
Assistant Secretary for Enforcement and Compliance, titled ``Issues 
and Decision Memorandum for the Final Results of the Administrative 
Review of the Antidumping Duty Order on Large Power Transformers 
from the Republic of Korea; 2012-2013'' (Issues and Decision 
Memorandum), which is issued concurrent with and hereby adopted by 
this notice, and dated concurrently with this notice.
---------------------------------------------------------------------------

Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by parties to 
this administrative review are addressed in the Issues and Decision 
Memorandum.\7\ A list of the issues that parties raised and to which we 
responded is attached to this notice as an Appendix. The Issues and 
Decision Memorandum is a public document and is on-file electronically 
via ACCESS. ACCESS is available to registered users at http://access.trade.gov and in the Central Records Unit, Room 7046 of the main 
Department of Commerce building. In addition, a complete version of the 
Issues and Decision Memorandum can be accessed directly on the Internet 
at http://enforcement.ita.doc.gov/frn/index.html. The signed Issues and 
Decision Memorandum and the electronic version of the Issues and 
Decision Memorandum are identical in content.
---------------------------------------------------------------------------

    \7\ Id.
---------------------------------------------------------------------------

Changes Since the Preliminary Results

    Based on a review of the record and comments received from 
interested parties regarding our Preliminary Results, we recalculated 
Hyosung's and Hyundai's weighted-average dumping margins for these 
final results.
    For Hyosung, we revised our margin program by adjusting Hyosung's 
reported U.S. duty expenses for certain sales transactions. We are also 
including U.S. freight expenses that were excluded in the Preliminary 
Results and including the entered value of a unit that entered the 
United States during the POR in our calculation of the assessment rates 
for entries of LPTs during the POR.\8\
---------------------------------------------------------------------------

    \8\ See Memorandum from Brian Davis to the File, regarding 
``Analysis of Data Submitted by Hyosung Corporation in the Final 
Results of the Administrative Review of the Antidumping Duty Order 
on Large Power Transformers from the Republic of Korea; 2012-2013'' 
(Hyosung Final Analysis Memorandum), dated March 23, 2014, at 
section ``Changes from the Preliminary Results,'' for further 
information.
---------------------------------------------------------------------------

    We made some changes to our calculation programs for Hyundai with 
respect to oil and certain other expenses. We also used the latest 
revised databases for U.S. sales and the Cost of Production based on 
post-preliminary questionnaires and responses.\9\
---------------------------------------------------------------------------

    \9\ See Memorandum from David Cordell to the File, regarding 
``Analysis of Data Submitted by Hyundai Heavy Industries Co., Ltd. 
in the Final Results of the Administrative Review of the Antidumping 
Duty Order on Large Power Transformers from the Republic of Korea; 
2012-2013'' (Hyundai Final Analysis Memorandum), dated March 23, 
2014, at section ``Changes from the Preliminary Results,'' for 
further information.
---------------------------------------------------------------------------

    As a result of the aforementioned recalculations of Hyosung's and 
Hyundai's weighted-average dumping margins, the weighted-average 
dumping margin for the three non-selected companies also changed.

Final Results of the Review

    As a result of this review, the Department determines the following 
weighted-average dumping margins \10\ for the period February 16, 2012, 
through July 31, 2013, are as follows:
---------------------------------------------------------------------------

    \10\ The rate applied to the non-selected companies (i.e., 
ILJIN, ILJIN Electric, and LSIS) is a weighted-average percentage 
margin calculated based on the publicly-ranged U.S. volumes of the 
two reviewed companies with an affirmative dumping margin, for the 
period February 16, 2012, through July 31, 2013. See Memorandum to 
the File titled, ``Large Power Transformers from the Republic of 
Korea: Final Dumping Margin for Respondents Not Selected for 
Individual Examination,'' through Angelica Townshend, Program 
Manager, dated concurrently with this notice.

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                    Manufacturer/exporter                       margin
                                                               (percent)
------------------------------------------------------------------------
Hyosung Corporation.........................................        6.43
Hyundai Heavy Industries Co., Ltd...........................        9.53
ILJIN Electric Co., Ltd.....................................        8.16
ILJIN.......................................................        8.16
LSIS Co., Ltd...............................................        8.16
------------------------------------------------------------------------

Duty Assessment

    The Department shall determine and U.S. Customs and Border 
Protection (CBP) shall assess antidumping duties on all appropriate 
entries.\11\ For any individually examined respondents whose weighted-
average dumping margin is above de minimis, we calculated importer-
specific ad valorem duty assessment rates based on the ratio of the 
total amount of dumping calculated for the importer's examined sales to 
the total entered value of those same sales in accordance with 19 CFR 
351.212(b)(1). Upon issuance of the final results of this 
administrative review, if any importer-specific assessment rates 
calculated in the final results are above de minimis (i.e., at or above 
0.5 percent), the Department will issue instructions directly to CBP to 
assess antidumping duties on appropriate entries.
---------------------------------------------------------------------------

    \11\ In these final results, the Department applied the 
assessment rate calculation method adopted in Antidumping 
Proceedings: Calculation of the Weighted-Average Dumping Margin and 
Assessment Rate in Certain Antidumping Proceedings: Final 
Modification, 77 FR 8101 (February 14, 2012).
---------------------------------------------------------------------------

    To determine whether the duty assessment rates covering the period 
were de minimis, in accordance with the requirement set forth in 19 CFR 
351.106(c)(2), for each respondent we calculated importer (or 
customer)-specific ad valorem rates by aggregating the amount of 
dumping calculated for all U.S. sales to that importer or customer and 
dividing this amount by the total entered value of the sales to that 
importer (or customer). Where an importer (or customer)-specific ad 
valorem rate is greater than de minimis, and the respondent has 
reported reliable entered values, we apply the assessment rate to the 
entered value of the importer's/customer's entries during the review 
period.
    The Department clarified its ``automatic assessment'' regulation on

[[Page 17036]]

May 6, 2003.\12\ This clarification will apply to entries of subject 
merchandise during the POR produced by the respondent for which it did 
not know its merchandise was destined for the United States. In such 
instances, we will instruct CBP to liquidate unreviewed entries at the 
all-others rate if there is no rate for the intermediate company(ies) 
involved in the transaction. For a full discussion of this 
clarification, see the Automatic Assessment Clarification.
---------------------------------------------------------------------------

    \12\ See Antidumping and Countervailing Duty Proceedings: 
Assessment of Antidumping Duties, 68 FR 23954 (May 6, 2003) 
(Automatic Assessment Clarification).
---------------------------------------------------------------------------

    We intend to issue assessment instructions directly to CBP 15 days 
after publication of the final results of this review.

Cash Deposit Requirements

    The following cash deposit requirements will be effective upon 
publication of this notice for all shipments of subject merchandise 
entered, or withdrawn from warehouse, for consumption on or after the 
publication of these final results, as provided by section 751(a)(2) of 
the Act: (1) The cash deposit rate for respondents noted above will be 
the rate established in the final results of this administrative 
review; (2) for merchandise exported by manufacturers or exporters not 
covered in this administrative review but covered in a prior segment of 
the proceeding, the cash deposit rate will continue to be the company 
specific rate published for the most recently completed segment of this 
proceeding; (3) if the exporter is not a firm covered in this review, a 
prior review, or the original investigation, but the manufacturer is, 
the cash deposit rate will be the rate established for the most 
recently completed segment of this proceeding for the manufacturer of 
the subject merchandise; and (4) the cash deposit rate for all other 
manufacturers or exporters will continue to be 29.93 percent, the all-
others rate established in the antidumping investigation.\13\ These 
cash deposit requirements, when imposed, shall remain in effect until 
further notice.
---------------------------------------------------------------------------

    \13\ See Large Power Transformers From the Republic of Korea: 
Antidumping Duty Order, 77 FR 53177 (August 31, 2012).
---------------------------------------------------------------------------

Notification to Importers Regarding the Reimbursement of Duties

    This notice also serves as a final reminder to importers of their 
responsibility under 19 CFR 351.402(f) to file a certificate regarding 
the reimbursement of antidumping and/or countervailing duties prior to 
liquidation of the relevant entries during the POR. Failure to comply 
with this requirement could result in the Department's presumption that 
reimbursement of antidumping and/or countervailing duties occurred and 
the subsequent assessment of doubled antidumping duties.

Administrative Protective Order

    This notice also serves as a reminder to parties subject to 
administrative protective orders (APO) of their responsibility 
concerning the return or destruction of proprietary information 
disclosed under APO in accordance with 19 CFR 351.305(a)(3), which 
continues to govern business proprietary information in this segment of 
the proceeding. Timely written notification of the return/destruction 
of APO materials, or conversion to judicial protective order, is hereby 
requested. Failure to comply with the regulations and the terms of an 
APO is a sanctionable violation.
    We are issuing and publishing this notice in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act and 19 CFR 351.213(h).

    Dated: March 23, 2015.
Paul Piquado,
Assistant Secretary for Enforcement and Compliance.

Appendix

List of Topics Discussed in the Final Issues and Decision Memorandum

I. Summary
II. List of Issues
III. Background
IV. Discussion of Interested Party Comments
    A. General Issues
    Comment 1: Whether the Department Treats Installation Expenses 
as Further Manufacturing Costs
    B. Hyosung-Specific Issues
    Comment 2: Discrepancies Between Hyosung's Net U.S. Price (as 
Calculated by the Department) and Reported Entered Values
    Comment 3: Hyosung Has Overstated Its Reported U.S. Prices and 
Understated/Omitted U.S. Expenses and Whether To Apply Adverse Facts 
Available (AFA)
    Comment 4: U.S. Commission Expenses
    Comment 5: U.S. Ocean Freight Expenses
    Comment 6: Installation Expenses
    Comment 7: The Department Erred in Conducting the Differential 
Pricing Analysis
    Comment 8: Consideration of an Alternative Comparison Method in 
an Administrative Review
    Comment 9: Denial of Offsets for Non-Dumped U.S. Sales When 
Using the A-To-T Comparison Method In Administrative Reviews
    Comment 10: Harbor Maintenance Fees
    Comment 11: Oil Expenses
    Comment 12: Exclusion of Certain U.S. Freight Expenses for a 
Particular U.S. Sales Transaction
    Comment 13: Calculation of Importer-Specific Assessment Rate
    Comment 14: Incomplete Further Manufacturing Cost Data
    C. Hyundai-Specific Issues
    Comment 15: Hyundai's U.S. Sales Data are Not Reliable or 
Verifiable Because of Certain Submissions and Should Not Be Used in 
the Final Results
    Comment 16: AFA With Respect to Comment 15 (Above).
    Comment 17: ``Overlapping'' Sales Between Investigation and This 
Review
    Comment 18: Alleged Underreported U.S. Movement and Selling 
Expenses
    Comment 19: Hyundai's Reporting of Home Market Sales
    Comment 20: Indirect Selling Expenses
    Comment 21: Section E Response Was Not Complete
    Comment 22: Whether Total AFA is Warranted Based On the Totality 
of Hyundai's Responses
V. Recommendation

[FR Doc. 2015-07382 Filed 3-30-15; 8:45 am]
BILLING CODE 3510-DS-P


Current View
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
DatesEffective March 31, 2015.
ContactBrian Davis (Hyosung) or David Cordell (Hyundai), AD/CVD Operations, Office VI, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 14th Street and Constitution Avenue NW., Washington, DC 20230; telephone: (202) 482-7924 or (202) 482-0408, respectively.
FR Citation80 FR 17034 

2024 Federal Register | Disclaimer | Privacy Policy
USC | CFR | eCFR